Flex Spending Plan Adm. Services Fee
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MEMORANDUM
December 21, 2005
TO:
The Honorable Mayor and City Council Members
FROM:
Michael C. Van Milligen, City Manager
SUBJECT: Administrative Services Fee Renewal for the Flexible Spending Plan
On November 21, 2005, the City Council approved an increase in the administrative
services fee from $3.25 per month per participating employee to $3.90 per month per
participating employee, effective January 1, 2006. Since the City has decided to offer a
claim (debit) card option for employees who set aside money in their flexible spending
account for medical and dental expenses, the administrative services fee will be
reduced to $3.65 per month per participating employee.
Personnel Manager Randy Peck recommends City Council approval of the
administrative services fee of Total Administrative Services Corporation, our flexible
spending plan administrator, in the amount of $3.65 per month per participating
employee, effective January 1,2006 through December 31,2007.
I concur with the recommendation and respectfully request Mayor and City Council
approval.
(Jt/ ~1 (J21L
Michael c. Van Milligen
MCVM/jh
Attachment
cc: Barry Lindahl, Corporation Counsel
Cindy Steinhauser, Assistant City Manager
Randy Peck, Personnel Manager
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Memorandum
December 21,2005
TO: Michael C. Van Milligen
City Manager
FROM:
Randy Peck Of
Personnel Manager , '\
SUBJECT: Administrative Services Fee Renewal for the Flexible Spending Plan
On November 21, 2005, the City Council approved an increase in the administrative
services fee from $3.25 per month per participating employee to $3.90 per month per
participating employee. The increase in the administrative services fee is effective
January 1, 2006. Since we have decided to offer a claim (debit) card option for
employees who set aside money in their flexible spending account for medical and
dental expenses, the administrative services fee will be reduced to $3.65 per month per
participating employee.
The requested action is for the City Council to pass a motion approving the
administrative services fee presented by Total Administrative Services Corporation, our
flexible spending plan administrator, in the amount of $3.65 per month per participating
employee effective January 1, 2006 through December 31, 2007.
If you have any questions, please feel free to call.
RP:bf